It's been a good week for Hangzhou Shunwang Technology Co,Ltd (SZSE:300113) shareholders, because the company has just released its latest third-quarter results, and the shares gained 6.5% to CN¥14.73. Results overall were respectable, with statutory earnings of CN¥0.25 per share roughly in line with what the analysts had forecast. Revenues of CN¥589m came in 9.0% ahead of analyst predictions. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

After the latest results, the two analysts covering Hangzhou Shunwang Technology CoLtd are now predicting revenues of CN¥1.96b in 2025. If met, this would reflect a decent 14% improvement in revenue compared to the last 12 months. Per-share earnings are expected to rise 2.5% to CN¥0.34. In the lead-up to this report, the analysts had been modelling revenues of CN¥1.87b and earnings per share (EPS) of CN¥0.28 in 2025. There's been a pretty noticeable increase in sentiment, with the analysts upgrading revenues and making a considerable lift to earnings per share in particular.

It will come as no surprise to learn that the analysts have increased their price target for Hangzhou Shunwang Technology CoLtd 21% to CN¥11.45on the back of these upgrades.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. It's clear from the latest estimates that Hangzhou Shunwang Technology CoLtd's rate of growth is expected to accelerate meaningfully, with the forecast 11% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 2.2% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 15% per year. So it's clear that despite the acceleration in growth, Hangzhou Shunwang Technology CoLtd is expected to grow meaningfully slower than the industry average.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Hangzhou Shunwang Technology CoLtd's earnings potential next year. They also upgraded their revenue estimates for next year, even though it is expected to grow slower than the wider industry. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have analyst estimates for Hangzhou Shunwang Technology CoLtd going out as far as 2026, and you can see them free on our platform here.

You still need to take note of risks, for example - Hangzhou Shunwang Technology CoLtd has 1 warning sign we think you should be aware of.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.